IQVIA Holdings Inc. (NYSE:IQV)

The financial data for the period under review demonstrates notable trends in the company’s leverage and equity position.

Long-term Debt

Long-term debt, including the current portion, increased significantly over the years. Starting from US$2,046 million in 2013, it saw gradual growth until 2015, followed by a sharp rise in 2016, reaching US$7,200 million. This upward trend continued more moderately in subsequent years, peaking at US$12,747 million in 2022. The data indicates a strategic shift towards greater debt financing over this decade.

Equity Attributable to Stockholders

The equity attributable to stockholders showed initial negative values from 2013 to 2015, indicating a deficit position. In 2016, equity turned positive with a substantial increase to US$8,633 million. However, the subsequent years reflect a declining trend in equity, falling to US$5,765 million by 2022. This decline suggests some erosion of shareholder equity after the initial recovery phase.

Debt to Equity Ratio

The debt to equity ratio was not available before 2016, but from that year on, it shows a steady increase. Starting at 0.83 in 2016, the ratio climbed to 2.21 by 2022. This rising leverage ratio highlights that the company has increasingly relied on debt financing relative to its equity base, indicating a higher financial risk profile over time.

In summary, the company experienced substantial growth in long-term debt and a movement from equity deficit to positive equity, followed by a gradual reduction in equity levels. Concurrently, the debt to equity ratio has steadily increased, reflecting enhanced leverage and potential shifts in the financial structure that may impact risk and capital costs.